Large companies must maximize the value of their applications environment to compete in today’s business environment. Because Application Development and Maintenance (ADM) is so intricately tied to bottom line results, many organizations seek specialized service providers to ensure best-in-class capabilities.
While transitioning to an ADM outsourcing contract requires the staffing and onboarding of a significant set of new skills under a tight time frame, successful staffing remains important long after the end of transition. If not managed properly, this process can become contentious. Clients often complain that service providers don’t provide skilled resources on time, or don’t provide timely information about unfilled resource requirements. Clients often struggle to understand how to navigate the service provider organization to escalate staffing issues, and are frustrated when provider resources are pulled from the team – frustration that is compounded when their replacements don’t understand the environment, solution or service level agreements (SLAs) when they come on board.
Service providers, meanwhile, often feel hamstrung when clients can’t forecast their resource requirements, or provide minimal notification when resources are needed. Moreover, internal client resources for project management are often inadequate. And while clients seek “indefinite” continuity in staffing, providers need to rotate resources to develop skills and promote career opportunities.
Addressing these challenges is essential. While critical to the healthy start of an ADM outsourced relationship, successful staffing remains important long after the end of transition. Constructive second- and third-generation ADM outsourcing efforts often depend on timely and effective staffing as well.
A new ISG white paper explores the dynamics that can keep clients and service providers from optimizing staffing opportunities in ADM outsourcing contracts, and outlines remediation strategies to ensure an effective transition and healthy long-term relationship.